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Sanctification

Sanctification is a work of God, whereby He transforms us
into the image of His Son through the means of Word and Sacrament.
Sanctification is different from works in that it describes the work of
God upon our minds leading to works. Works are therefore a fruit of
sanctification.

That gracious and continuous operation of
the Holy Spirit, by which He delivers the justified sinner from the
pollution of sin, renews his whole nature in the image of God, and
enables him to perform good works. - Louis Berkhof's Systematic Theology

The work of God's free grace, whereby we are renewed in the whole man
after the image of God, and are enabled more and more to die unto sin,
and live unto righteousness. - Louis Berkhof's Systematic Theology

The work of God's grace, whereby they whom God hath, before the
foundation of the world, chosen to be holy, are in time, through the
powerful operation of the Holy Spirit applying the death and
resurrection of Christ unto them renewed in their whole man after the
image of God, having the seeds of repentance unto life, and all other
saving graces, put into their hearts, and those graces so stirred up,
increased, and strengthened, mortified and quickened. - Louis Berkhof's Systematic Theology

Sanctification
is also described as both definitive and progressive. Sanctification is
definitive in the sense that all of the believer's works are credited
to him as if they were done by Christ. In fact, since our best works
are but filthy rags before God (see Isa. 64:6),
even the heavenly rewards we receive from our works are merited not by
us but by the perfections of Christ credited to our works.

Sanctification is progressive in the sense that God causes us to grow in the knowledge of the Grace of God.

Supporting Scriptures:

1 Cor. 1:30 - "But of Him you are in Christ Jesus, who became for us wisdom from God—and righteousness and sanctification and redemption" - Here Christ is described as our sanctification, showing that it is His righteous works that we are rewarded for.

Eph. 2:10
- "For we are His workmanship, created in Christ Jesus for good works,
which God prepared beforehand that we should walk in them." - "His workmanship" implies that sanctification is God's work.

Phil. 2:12-13
- "Therefore, my beloved, as you have always obeyed, not as in my
presence only, but now much more in my absence, work out your own
salvation with fear and trembling; for it is God who works in you both
to will and to do for His good pleasure."

Heb. 10:10 - "By that will we have been sanctified through the offering of the body of Jesus Christ once for all."